World’s richest Black person Aliko Dangote’s refinery targets $5 billion listing after $2.5 billion pitch

Aliko Dangote is preparing to take his $20 billion petroleum refinery public in what could become Africa’s largest stock market debut. The Nigerian billionaire aims to raise roughly $5 billion through an initial public offering expected to close by October, following a recent $2.5 billion private placement designed to clean up the company’s balance sheet.

The 650,000-barrel-a-day plant in Lagos, which hit full operating capacity earlier this year, gained market share during recent Middle East energy disruptions by selling jet fuel across Africa and Western Europe. Dangote plans to use the new capital to expand processing capacity at the Lagos site and build a similar facility in Kenya, advancing his broader effort to turn Africa from a net importer of refined fuel into a regional exporter.

Primary listing planned on Nigerian Exchange

The proposed IPO timeline remains ambitious, but the offering is already attracting interest from exchanges across Africa. Financial advisers to the refinery have held talks in recent months with market operators in South Africa, Kenya, Egypt, Ghana, and Rwanda. Local institutional investors, including Kenyan pension funds, could contribute over $500 million to the offering.

Dangote Petroleum Refinery & Petrochemicals FZE has submitted an application to list its shares with Nigeria’s Securities and Exchange Commission, according to a person familiar with the matter. Regulatory approval is expected within weeks, paving the way for the company to publish its prospectus in September.

Because the primary listing will take place on the Nigerian Exchange, final proceeds will depend on the regulatory limits set in Abuja. A $5 billion offering would represent just over 4 percent of the Nigerian market’s total $116 billion capitalization. While the size of the public float remains unconfirmed, last month’s private placement—which sold a 6 percent stake for $2.5 billion—implicitly valued the refinery at $40 billion.

Industrial expansion drives valuation ambitions

Cross-listings on other African exchanges are not currently planned. The state-owned Nigerian National Petroleum Company holds a minority stake of roughly 7 percent in the complex, which originally began partial operations in 2024. Dangote previously stated in April that he eventually aims to push overall output toward 1.4 million barrels per day.

The listing is part of a broader strategy to expand the industrial group. Group Executive Director Fatima Dangote said the conglomerate expects annual revenue to increase from $20 billion to $80 billion within three years and is targeting a $100 billion valuation across its oil, cement, and fertilizer businesses by 2030. Supported by the recent strength of Dangote Cement, Aliko Dangote’s net worth has climbed 17.3 percent this year to $35.2 billion.